Chariot, a funds firm devoted to Donor Suggested Fund (DAF) giving, and K2D Methods, a full-service direct response fundraising and engagement company, launched the inaugural DAF Fundraising Report on the nonprofit expertise with DAF fundraising. The benchmark examine reveals the growing effectiveness of DAFs in enabling donors to provide extra, and extra usually. Non-DAF donors who transitioned to utilizing a DAF inside the 5 years of the examine almost doubled their yearly donations, growing their annual giving to the identical group by 96%.
The examine paperwork historic giving information from 2019-23 collected from 20 main nonprofits, analyzing over $10 billion in fundraising from 78 million transactions. The American Most cancers Society, Susan G. Komen, March of Dimes, and the ACLU are among the many taking part nonprofits chosen to symbolize a variety of organizations various in dimension, space of specialization, and placement.
The DAF Fundraising Report offers the primary wide-scale nonprofit perspective of DAF donations, providing new perception into tendencies in DAF utilization from 2019-23. The examine outlines the expansion in DAF income and DAF donors relative to non-DAF income and donors – in addition to a first-of-its-kind perception into how DAF adoption really adjustments donor conduct.
Key findings embody:
- DAFs are extremely beneficial for nonprofits: As soon as somebody begins giving from their DAF, their annual giving will increase by 96%.
- DAFs are the fastest-growing automobile in philanthropy: DAF Income is rising 214x sooner than non-DAF Income within the pattern group.
- DAF donors are bucking the development of declining donor participation: DAF Donors have grown 79% whereas non-DAF donors have declined by 6%.
- DAF donors are “hiding” in donor information: No less than 26% of present DAF donors have been already supporting that trigger once they made their first DAF present.
- DAF donors are extremely loyal: DAF donor retention charges common 15 factors larger than non-DAF donors amongst contributors.
“Now we have seen the quantity and frequency of donations by way of DAFs considerably improve, particularly within the final 5 years,” says Karin Kirchoff, Founder and President of K2D Methods. “For nonprofits, elevated DAF utilization of their donor base is without doubt one of the greatest drivers of general fundraising success. DAFs make it simpler for donors to handle and improve their philanthropy – finally giving twice as a lot to their favourite causes.”
“There’s no denying that Donor Suggested Funds are remodeling the nonprofit panorama, providing a sustainable supply of help in as we speak’s difficult fundraising setting. On the IRC, we’ve seen firsthand how DAFs empower us to succeed in these on the frontlines of disaster, battle and catastrophe extra successfully, because of bigger and extra frequent contributions, so we’re delighted to see that it advantages so many all through the nonprofit ecosystem,” says Carlos Pena, Director of Donor Suggested Funds for the Worldwide Rescue Committee.
“We all know that giving is a vital a part of on a regular basis private finance. Once you use DAF as a devoted giving account, you give a lot extra,” says Salomon Serfati, Co-Founder and Chief Govt Officer at Chariot. “The DAF Fundraising Report brings house how DAFs can encourage a change in donor conduct. DAFs encourage extra purposeful giving the place donating is seen as much less of an expense and extra of an funding in a significant nonprofit.”
The previous press launch was offered by an organization unaffiliated with NonProfit PRO. The views expressed inside don’t instantly replicate the ideas or opinions of the workers of NonProfit PRO.
